Blackberry 2011 Annual Report Download - page 79

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acquiree, which was generally not available to other market participants. The gain was recognized in selling, marketing and
administration during fiscal 2010.
(3)
The Company has agreed to additional consideration contingent upon the achievement of certain agreed upon technology
and working capital milestones, and earnings targets.
During fiscal 2011, the Company expensed approximately $3 million of acquisition related costs due to the current period
acquisitions. Acquisition related costs were recognized in selling, marketing and administration during the year.
The weighted average amortization period of the acquired technology related to the business acquisitions completed in fiscal 2011
is approximately 3.8 years (2010 — 3.7 years).
The weighted average amortization period of the patents related to the business acquisitions in fiscal 2011 and fiscal 2010 are nil
and 18.1 years, respectively.
Pro forma results of operations for the acquisitions have not been presented because the effects of the operations, individually or in
aggregate, are not considered to be material to the Company’s consolidated results.
8. INCOME TAXES
The difference between the amount of the provision for income taxes and the amount computed by multiplying income before income
taxes by the statutory Canadian tax rate is reconciled as follows:
February 26,
2011
February 27,
2010
February 28,
2009
For the year ended
Statutory Canadian tax rate 30.5% 32.8% 33.4%
Expected income tax provision $1,414 $1,072 $ 936
Differences in income taxes resulting from:
Impact of Canadian U.S. dollar functional currency election –(145) –
Investment tax credits (138) (101) (81)
Manufacturing and processing activities (71) (52) (50)
Foreign tax rate differences 15 5 (16)
Adjustments to deferred tax balances for enacted changes in tax laws and
rates 15 81
Non-deductible stock compensation 710 10
Foreign exchange (1) 3 100
Other differences (8) 98
$1,233 $ 809 $ 908
February 26,
2011
February 27,
2010
February 28,
2009
For the year ended
Income before income taxes:
Canadian $4,279 $2,999 $2,584
Foreign 364 267 216
$4,643 $3,266 $2,800
66 RESEARCH IN MOTION ANNUAL REPORT 2011
RESEARCH IN MOTION LIMITED
Notes to the Consolidated Financial Statements
continued
In millions of United States dollars, except share and per share data, and except as otherwise indicated